Best Day Trading Platforms & Brokers UK Reviewed for 2024

Looking to day trade stocks, forex, crypto, and other popular assets but not sure where to begin? With so many options out there picking the right broker to suit your trading needs can be a time consuming task.

This guide compares the 10 best day trading platforms in the UK for 2024. Read on to discover top-rated trading platforms for supported markets, low fees, leverage, analysis tools, and more.

Best Day Trading Platforms in the UK Reviewed

Traders should do their own research when selecting the best UK day trading platform for their needs.

In this section, we review the above platforms for fees, supported markets, regulation, customer service, trading tools, and much more.

1. XTB – Superior Trading Suite for Advanced Day Traders  

XTB is the best trading platform in the UK for seasoned traders. Its proprietary platform, xStation 5, offers everything a trader needs to navigate the markets. traders can customize their charting screen with their preferred parameters. There are high-level economic and technical indicators too, not to mention order book data and chart drawing tools.

We also like that xStation 5 is available on multiple device types. This includes desktop software for Windows and Mac, mobile apps for iOS and Android, and a browser-based platform. In terms of supported markets, XTB specializes in CFDs. This includes forex, commodities, ETFs, stocks, and indices. There are no commissions to pay on any supported markets and spreads are competitive.

For example, EUR/USD and GBP/USD can be traded with spreads of 0.8 and 0.9 pips respectively. All markets at XTB can be traded with leverage, and both long and short positions are supported. XTB also has a notable analysis department. This includes expert insights and market news, alongside updates on key economic events. XTB also offers educational material to help novice traders.

There is also a demo account to practice trade in a risk-free environment. Those wishing to day trade with real money can get started without meeting a minimum deposit requirement. XTB supports fee-free UK bank transfers and debit/credit card payments. Skrill is also accepted by XTB, but this attracts a 2% deposit fee.

76% of retail investor accounts lose money when trading CFDs with this provider.

2. AvaTrade – 0% Commission CFD Platform With Competitive Spreads       

Launched in 2006, AvaTrade is a popular UK CFD broker used by over 300,000 traders. It is regulated in nine jurisdictions, ensuring UK residents have a safe place to day trade. Multiple CFD asset classes are supported by AvaTrade, including forex, stocks, indices, bonds, and commodities. All markets are commission-free, and spreads are typically competitive.

For example, EUR/USD can be traded from 0.9 pips Those looking to trade forex can access leverage of up to 1:30. What’s more, AvaTrade has its own trading suite for web browsers and mobile devices. It also supports third-party platforms, including MT4, MT5, and DupliTrade. In addition to CFD trading, AvaTrade also supports spread betting. This enables UK clients to trade without paying capital gains tax.

 76% of retail investor accounts lose money when trading CFDs with this provider

3. Pepperstone – Day Trade Major Forex Pairs From 0 Pips      

Pepperstone is the best trading platform for day traders seeking low spreads. Those opening a razor account will have access to institutional-grade pricing. Meaning, that just like financial institutions, Pepperstone traders can secure forex spreads of 0 pips. This is only the case with major currency pairs like EUR/USD, GBP/USD, and USD/JPY.

Other markets are still ultra-competitive nonetheless, for example, EUR/GBP and USD/CAD can be traded at 0.2 pips and 0.1 pips respectively. Do note that those trading via the Pepperstone razor account will need to pay a commission. This varies depending on the quoted forex currency. For instance, USD-centric pairs attract a commission of $3.50 per traded lot. Pepperstone also supports CFD markets, including stocks, ETFs, indices, and commodities.

75.3% of retail investor accounts lose money when trading spread bets and CFDs with this provider.

4. Plus500 – Day Trade Thousands of CFD Markets at 0% Commission 

Plus500 is the best day trading platform in the UK for low fees. First and foremost, there are no trading commissions on any supported markets. At Plus500, this includes thousands of stocks from multiple exchanges. This covers everything from the UK and the US to Singapore, Australia, and Japan. Plus500 also supports forex, commodities, ETFs, and indices.

On the flip side, Plus500 is a. CFD-only platform, so UK day traders cannot access cryptocurrencies.  Nonetheless, we like that Plus500 also offers tight spreads. For example, EUR/USD can be traded from just 0.8 pips. Do note that spreads are dynamic, meaning they change based on market conditions. Plus500 also supports fee-free payments, including those made with debit/credit cards, e-wallets, and bank transfers.

Plus500 has its own native trading suite, accessible via web browsers and a mobile app. The latter is available for iOS and Android. The Plus500 trading platform supports real-time charting tools and technical indicators. There is also a trading sentiment indicator, enabling traders to assess where the smart money is going. Plus500 also offers alerts and custom watchlists, plus market insights and an economic calendar.

All of the supported markets at Plus500 can be traded with leverage. What’s more, traders can go long or short on their preferred asset. This makes Plus500 a suitable option in both bullish and bearish markets. Another Plus500 feature is ‘guaranteed’ stop losses. Unlike standard stop-loss orders, this ensures that losing trades are automatically closed at the chosen price point.

We also like that Plus500 is regulated by the FCA and publicly listed on the London Stock Exchange. This ensures that UK clients can day trade in safety. It rarely takes more than a few minutes to get started with Plus500 and the minimum deposit is £100. That said, beginners might consider starting with the Plus500 demo account. This mirrors live market conditions and enables traders to buy and sell assets risk-free.

82% of retail investor accounts lose money when trading CFDs with this provider.

5. Trade Nation – Offers Transparent Betting With Low-Cost And Fixed Spreads While Ensuring Fund Safety

Trade Nation is an emerging day trading platform in the UK that has been constantly growing since its inception in 2014. It reached from London to various international locations like Australia, Malaysia, and the Bahamas. One of the significant concerns for traders is the security of their funds. 

The platform emphasizes this, holding customer money in segregated accounts with reputed banks like Barclays and Santander.

Importantly, Trade Nation has clear, upfront trading charges and no hidden fees. This transparency is paired with access to over 1000 global marketplaces, providing traders with a broad spectrum of opportunities.

Whether you’re a seasoned trader or just starting, Trade Nation offers platforms like TN Trader and MT4 to suit various trading styles. With features like real-time news, detailed market analysis, and risk-management tools, the user experience is tailored for efficiency.

Also, their recognition as ADVFN’s Best Spread Betting Platform of 2023 affirms their global reputation. Regulation by well-regarded agencies like the UK’s Financial Conduct Authority (FCA) confirms their credibility.

Providing 24-hour customer support five days a week, Trade Nation ensures that traders have assistance when needed. Additionally, they offer resources for learning, including demo accounts, to help traders of all levels improve their skills.

With low fixed-cost spreads and transparent overnight finance charges, Trade Nation focuses on controlling trading costs. Protection against negative balance also adds to the safety net for traders.

 75% of retail investor accounts lose money when trading CFDs with this provider

6. Alvexo – Leading Platform for Day Trading Hard and Soft Commodities     

Alvexo is a CFD trading platform that is ideal for speculating on commodities. In the hard commodities department, this includes gold, silver, copper, palladium, oil, and natural gas. Soft commodities include corn, sugar, and wheat. Alvexo enables UK traders to speculate on commodities with leverage. Gold, for example, can be traded with leverage of up to 1:20.

Additionally, traders can go long or short on their preferred commodity. In addition to commodities, Alvexo also supports stocks, forex, and indices. Alvexo has its own native trading platform that can be accessed online via the iOS/Android app. There are multiple account types to choose from but do note the minimum deposit is €500, or about £435. Spreads on the standard account start from 2.9 pips, which is considered high.

7. IG – Top Trading Platform for Tax-Free Spread Betting      

IG is one of the best UK day trading platforms for spread betting. Founded in 1974, IG supports over 18,000 spread betting markets. This includes thousands of UK and global stocks and ETFs, not to mention forex, indices, and commodities. Just like CFDs, spread betting markets at IG support long and short positions. Moreover, UK traders can spread bet with leverage of up to 1:30.

Apart from stocks, all CFD and spread betting markets can be traded commission-free. Spreads are very competitive, with EUR/USD starting at 0.6 pips. The commission on stock trading varies depending on the market. For example, UK stocks can be traded at  0.1% commission. IG also supports real investments, including thousands of stocks and funds. Finally, IG offers top-notch telephone support around the clock.

8. Forex.com – Popular Forex Day Trading Platform Suitable for All Experience Levels       

Forex.com is a popular day trading platform to speculate on currencies. Over 80 forex pairs are supported across three account types. First, there is the standard account, offering spread-only trading. Second, there is the raw account, offering more competitive spreads alongside a small commission. Third, there is the direct market access (DMA) account. This offers 0 pip trading with a variable commission model.

We also like that Forex.com supports multiple trading platforms. In addition to its own native platform for browser, mobile, and desktop trading, Forex.com also supports MT4 and MT5. In addition to forex, this trading platform also supports stocks, commodities, and indices. The minimum deposit at Forex.com is £100 when using a debit/credit card or Paypal. No minimum deposit is required when making a UK bank transfer.

9. Capital.com – Regulated Day Trading Platform With a Minimum Deposit of £20        

Capital.com is a regulated trading platform that supports CFDs and spread betting. Thousands of markets are supported, including stocks, forex, indices, and commodities. UK traders can get started in just minutes, and the minimum first-time deposit is just £20. However, those depositing funds with a bank transfer will need to transfer at least £250. Nonetheless, no deposit fees are charged by Capital.com.

What’s more, Capital.com offers 0% commission trading across all markets. Spreads are very competitive too, with EUR/USD and AUD/USD starting from 0.6 pips. Capital.com also offers a free demo account with £100,000 in virtual funds. This is completely risk-free, and mirrors live market conditions. Finally, Capital.com supports educational tools, including guides, webinars, and videos.

10. Admirals – Offers Over 8,000 Products With Low Spreads & Niche Options, Excellent for UK FX Day Traders

Admirals is an excellent UK day trading platform with multiple products and integration with the powerful MetaTrader 4 and MetaTrader 5 applications, which Forex traders will appreciate. Admirals recently rebranded from Admiral Markets but still delivers on its high level of customer care.

The platform has a good rating on TrustPilot with many positive reviews. Products offered by Admirals include currencies (82), commodities (29), indices (42), stocks (3,462,), bonds (2), and ETFs (362). 

There are two primary drawbacks with Admirals. The first is that there are no cryptocurrency products available through this provider. The second is that it is not available to residents of Canada, Japan, or the US. This rules out a large part of the available demographic, but this will not concern UK day traders. 

In the UK, for stock CFDs, the cost is 0.1 % of trade value, with 6 free trades each day. ETFs have a cost of 0.1 % of trade value. Admirals rate quite highly in terms of its spreads, which tend to be lower than its competitors across most categories. It has particularly low spreads in terms of FX, which it excels in. 

The overall fees will depend and what ass classes you trade, your overall volume, and on which MetaTrader account you select – MT5. Trade, MT5. Invest, or MT5. Zero. You will need some version of MetaTrader to interact with this platform unless using a virtual account.

Admirals even offer some niche products. It currently provides 2 bond options (a rarity among providers) as well as an Islamic account to cater to this group of investors. It has also integrated fractional shares, which has proven very popular among investors.

The MetaTrader Supreme Edition also works with the platform, to boost the day trading experience. Overall, this is a great platform for UK day traders with MetaTrader support, low spreads, and a good standard of customer care.

Top UK Day Trading Brokers Compared

To make an informed decision on the best UK day trading platform, refer to the comparison table below:

How We Select the Best UK Day Trading Platforms

We narrowed our list of the best UK day trading platforms to just 11 providers.

Here are the criteria we focused on when compiling our research:

• Range of Assets: We only consider day trading platforms with support for multiple markets and asset types. Most of the platforms reviewed today support stocks, indices, forex, commodities, and ETFs.
• Spreads: The best UK day trading platforms support tight spreads. This is very important when day trading, as traders target thin profit margins.
• Fees: In addition to spreads, day traders should consider what commissions are charged, if at all. Also, explore overnight financing fees on leveraged products like CFDs and spread betting.
• Tools & Analysis: The only way to make consistent gains when day trading is through technical analysis. Therefore, the best UK day trading platforms support charting tools, technical indicators, and other advanced features.
• Minimum Deposit: Those on a budget should consider the minimum deposit required by the day trading platform.
• Demo Account: Beginners and seasoned day traders alike will find a demo account platform useful. This enables traders to practice their preferred strategies without risking any money.
• Mobile App: Day traders should never be more than a click away from the financial markets. This is why the best UK day trading platforms offer a native app for iOS and Android devices.
• Payment Methods: We also consider what UK payment methods are supported. Most day trading platforms accept debit/credit cards and bank transfers. Some also support e-wallets like Paypal and Google Pay.
• Customer Service: Leading UK day trading platforms offer excellent customer service. This is usually via live chat. Most platforms offer support on a 24/5 basis.

What is Day Trading?

Day trading is a type of trading that involves opening and closing positions within the span of a single market day. For stock trading, that typically means opening positions in the morning and closing all of them before market close in the afternoon.

Day traders can keep positions open for a few seconds, a few minutes or a few hours. They may focus on one position each day, open multiple trades in succession, or even coordinate multiple open trades at the same time.

An advantage to day trading is that it eliminates overnight risk. However, it also requires a lot of attention since positions can be fast-moving.

Most successful day traders make money not just by winning more trades than they lose, but also by cutting losses early. For day traders, it’s important to keep losses small and avoid being wiped out by a bad trade.

How Does Day Trading in the UK Work?

Day trading is a short-term investment strategy suitable for various asset classes, including stocks, forex, commodities, and indices. The objective is to capitalize on asset price fluctuations. Unlike long-term investors, day traders open and close positions within a few hours or even minutes.

• For example, suppose a day trader speculates that Apple stock will increase in the coming hours.
• The day trader enters a buy order, risking £5,000
• Apple stock increases by 1% and the trader closes the position.
• This day trading position yields a profit of £50

Most day traders will enter multiple positions throughout the day. Moreover, as day traders target small profit margins, they often use leverage. Retail clients in the UK can day trade with leverage of up to 1:30 on major currency pairs. Other asset classes, like minor currencies, commodities, and stocks, come with lower leverage limits.

Crucially, day trading is only suitable for those with an understanding of technical analysis. Successful day traders are skilled at using technical and economic indicators to evaluate whether an asset is likely to rise or fall.

Day Trading vs Swing Trading

As noted above, day trading is a short-term strategy, with positions remaining open for several hours or minutes. Swing trading is also a short-term strategy, but more flexibility is available. For example, swing traders can open a position and keep it open for several days or weeks.

Swing traders look for short-to-medium trends and enter positions accordingly. In addition to technical analysis, swing traders also utilize real-world news when making trading decisions.

• For example, suppose that Apple releases its quarterly earnings reports.
• The firm’s performance exceeded market expectations, so the swing trader might enter a buy order.
• The swing trader will keep their buy order in place until they believe the upward trend is about to reverse.

Swing trading offers greater profit potential than day trading. This is because trades can remain open for a longer period of time. Meaning, the chosen asset has more time to rise or fall in value. That said, the risks of swing trading are also greater, considering that extended losses are a real possibility.

What Assets Can You Day Trade in the UK?

Day traders based in the UK have access to thousands of markets across multiple asset classes, including stocks, ETFs, commodities, currencies, indices, and cryptocurrencies.

That said, it is important to understand the type of asset that is being day traded. For instance, most day trading platforms in the UK specialize in CFDs. These are financial derivatives that track the value of assets in real-time. This means that the day trader does not own the asset. This doesn’t present any hurdles for the trader. On the contrary, CFDs enable day traders to go long or short on their chosen asset, as well as trade with leverage.

In addition to CFDs, UK day traders can also access spread betting. These are also derivatives that track the real-world value of an asset. However, unlike CFDs, spread betting markets can be traded without paying any capital gains tax.

Benefits of UK Day Trading

Still not sure if day trading is the right investment strategy to undertake?

Here are some of the main benefits of day trading:

• Reduced Risk: Day trading positions usually only remain open for several hours. This means that the respective asset will likely only rise or fall by a few percentage points. This is especially the case with liquid markets like forex and stocks. As such, losing day trading positions are often modest.
• Asset Diversity: Day traders in the UK have access to thousands of markets. This includes everything from forex and stocks to commodities, cryptocurrencies, and indices. This ensures that day traders always have access to profit-making opportunities.
• Low Fees: The best day trading platforms in the UK offer 0% commission trading alongside tight spreads. This is crucial for day traders, considering the small profit margins on offer.
• Highly Liquid: Day traders never have capital tied up for long periods of time. As soon as the day trading position is closed, the proceeds from the trade are instantly added to the account balance.
• Regulated Market: Day traders in the UK benefit from a heavily regulated market. Leading platforms like Plus500 are authorized and regulated by the FCA. What’s more, Plus500 is also covered by the FSCS.
• Leverage: Retail clients in the UK can day trade with leverage. Limits sit between 1:5 and 1:30, depending on the asset being traded. This gives those with a low trading budget to target higher returns. But do remember that leverage is risky, as the entire stake can be lost.

Day Trading Strategies

Listed below are some popular day trading strategies suitable for beginners:

1. Start With a Demo Account: The importance of starting with a demo account platform should not be understated. This enables beginners to practice day trading in live market conditions without risking any funds.
2. Stick With Highly Liquid Markets: Day trading beginners should stick with highly liquid markets, such as major forex pairs and blue-chip stocks. These markets are less volatile and can usually be traded with tighter spreads.
3. Avoid Leverage: Seasoned day traders will utilize leverage to amplify their trading positions. But beginners should stay away from leverage, as it increases both profits and losses. Leverage should only be used when the day trader has a firm understanding of the risks.
4. Learn Technical Analysis: Day traders target small but frequent gains, often scraping a few percentage points here and there. However, the only way to make consistent gains is to become proficient in technical analysis. Consider taking a course on technical analysis and practice via a demo account.
5. Implement Bankroll Management: Another crucial strategy that beginners should implement is bankroll management. This limits how much can be risked on any single trade. For example, no more than 1% of the account balance.

Is Day Trading Taxed in the UK?

Put simply, profits on day trading are taxed in the same way as any other investment strategy. This means that profits made from day trading will be subject to capital gains tax.

That said, UK residents can make capital gains of up to £6,000 in the 2023/24 tax year without paying any tax. That said, the capital gains tax allowance has been reduced significantly from the £12,300 that was available in the previous tax year.

Nonetheless, day traders in the UK might consider trading spread betting markets. This is because spread betting falls under the ‘gambling’ category, so there is no capital gains tax on profits.

In our view, the best place to spread bet in the UK is Plus500. This regulated platform supports thousands of spread betting markets at 0% commission.

Best Forex Signals

Those without any prior day trading experience might consider forex signals. These are ‘trading suggestions’ provided by experienced traders. In most cases, forex signal providers charge a monthly subscription fee for their service.

In our view, one of the best forex signals providers is UK-based Learn2Trade. This signals provider has over 40,000 members in its Telegram group and claims a success rate of 79%. Each Learn2Trade signal comes with the following information:

• Forex pair to trade (e.g. GBP/USD)
• Long (buy) or short (sell) order
• Limit order price (e.g. 1.2509)
• Take-profit price (e.g. 1.2687)
• Stop-loss price (e.g. 1.2401)

Crucially, Learn2Trade provides all of the required information to act on its trading suggestions. Paired with the best forex brokers UK offering tight spreads, forex signals can improve FX trading strategies and maximize potential profits.

Things to Consider Before Day Trading in the UK

Before embarking on a day trading career, there are some important considerations to make:

• Day trading, like all forms of investing, requires traders to risk their capital. There is no guarantee of making money when day trading. On the contrary, most day traders lose money.
• Day trading is an ultra-active strategy. This means that traders need to dedicate several hours each day to researching and monitoring the markets. Those without the required time might be better suited to long-term investing.
• Day traders target very small profit margins. This means that those on a budget might find it difficult to make enough money to make the process worthwhile. While leverage can help amplify stakes, this also increases the risk of loss.
• It is crucial to have a firm understanding of what trading fees are being paid. Not only in terms of commissions and spreads but overnight funding too. These fees will eat into day trading margins, which are likely already wafer-thin.

In addition to the above, day traders in the UK should ensure they stick with FCA-regulated platforms. Plus500 is a popular option for this reason, but many others exist.

Conclusion

In summary, with more and more brokers supporting retail clients, day trading is increasingly becoming popular in the UK. Overall, we found that XTB is the best day trading platform to consider.

The XTB platform supports thousands of markets, covering stocks, ETFs, forex, cryptocurrencies, indices, and commodities. It is a feature rich platform, packed with analytical tools, catering to the most advanced traders, and, as the icing on there cake, doesn’t charge commission fees.

76% of retail investor accounts lose money when trading CFDs with this provider.

References

• https://register.fca.org.uk/s/search?q=583263&type=Companies
• https://www.fca.org.uk/publications/policy-statements/ps19-18-restricting-contract-difference-products#:~:text=Limit%20leverage%20to%20between%2030,positions%20on%20their%20CFD%20account.
• https://www.fca.org.uk/publication/policy/ps20-10.pdf
• https://www.londonstockexchange.com/stock/PLUS/plus500-ltd/company-page
• https://www.google.com/finance/quote/GBP-USD?sa=X&ved=2ahUKEwiQpMzxj_b-AhWRQEEAHaSBBWYQmY0JegQIBhAc
• https://www.bloomberg.com/quote/EURGBP:CUR
• https://www.gov.uk/hmrc-internal-manuals/business-income-manual/bim22015
• https://www.iggroup.com/about-us/who-we-are/our-history
• https://www.fca.org.uk/firms/contract-for-differences
• https://www.apple.com/investor/earnings-call/
• https://www.handbook.fca.org.uk/handbook/glossary/G279.html
• https://www.financial-ombudsman.org.uk/businesses/complaints-deal/investments/spread-betting-contracts-difference
• https://www.lse.ac.uk/accounting/assets/CARR/documents/R-R/2013-Winter/CARRmagRR26-Loussouarn.pdf

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